Novozymes and its Chinese partner COFCO have entered into a partnership with Chinese oil and energy company Sinopec to develop bio-ethanol from agricultural waste.

Together the three partners cover the entire value chain of bioethanol production and distribution with the aim of developing a commercial-scale process for producing second-generation bioethanol from one type of plant crop waste: corn stover, which is eaves and stalks left in the field after the food crop has been harvested.

Second-generation bioethanol is expected to be able to reduce greenhouse gas emissions by at least 90% compared to oil-based fuels. Cellulosic biorefineries will require little or no fossil-fuel input and are likely to return power to the grid.

Biofuel is a potential method of limiting CO2 emissions from transport. The transport sector is currently responsible for about 25% of global energy-related CO2 emissions, and its share is rising.

Steen Riisgaard, CEO of Novozymes, stated that this puts the consortium one step closer to being able to produce commercial quantities of bio-ethanol from agricultural waste. He added that second-generation bio-ethanol production in China holds vast potential for Novozymes as a technology leader, and they expected to be the first company with enzymes ready for large-scale production by 2010.

Together, the three partners cover the entire value chain of bio-ethanol production.

In the coming decade the number of cars in China is expected to increase significantly, which will lead to substantial growth in the demand for vehicle fuels. To meet these rising demands the Chinese government has developed an ambitious bioenergy development strategy that will boost the production of biofuels from existing technologies and develop second-generation biofuels.